You spot a Dh500 flight online and immediately consider it a bargain. But for many UAE residents planning their summer escapes, that initial excitement is quickly replaced by a shock as the true cost of the holiday becomes clear.
Once baggage fees, seat selection, visas, travel insurance, hotels, transfers, and daily expenses are included, the initial low airfare can result in a holiday costing several thousand dirhams.
“People often see an advert for a Dh500 flight and think, ‘That’s such a cheap holiday!’ But the flight is just the starting point,” explains Ipshita Sharma, a travel agent for SCN Travel & More. “Once you add all the extras, that Dh500 flight can easily turn into a holiday costing several thousand dirhams.”
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Residents are facing significant cost increases with peak summer travel season in the UAE. While higher airfares are expected, travel experts note that overlooked and underestimated expenses are causing the greatest challenges for families.
The visa and insurance trap
Visas and travel insurance are two significant but often overlooked expenses. Depending on the destination, obtaining visas for a family can add considerable costs before travel even begins.
Schengen visa costs have risen due to increased demand for European travel. Many agencies have raised consultancy fees by 40 to 50 per cent. Although reputable e-visa platforms maintain nominal rates of Dh357, plus Dh377 payable at VFS, the total cost of entering Europe remains a significant challenge for families.
The challenge is greater for those applying for US visas. High demand, past embassy closures, and a shortage of new appointments have increased application costs to between Dh1,600 and Dh1,800.
Travel insurance costs show more variation. Standard plans with $50,000 (Dh183,647) coverage have remained stable across the UAE, Saudi Arabia, Oman, Europe, and Asia, as insurers keep prices competitive.
However, premium plans with $500,000 (Dh1,836,475) coverage have increased by 5 to 8 per cent from some providers, reflecting higher medical costs and geopolitical risks.
Despite the expense, Ipshita emphasises that insurance is essential. “While travel insurance might feel like an extra expense, it’s one of the most important parts of your trip,” she says. “It protects you against medical emergencies, cancellations, lost baggage, and unexpected disruptions something you only truly appreciate when something goes wrong.”
Flight tickets: The biggest shock
Airfare increases to the Indian subcontinent have been especially steep for UAE residents. Fares to Mumbai, Delhi, Hyderabad, and Kochi, which are popular routes, have risen from Dh1,350–Dh1,500 to Dh2,090–Dh2,440.
This represents an increase of 49 to 63 per cent, depending on whether travellers choose a low-cost carrier such as Air Arabia, flydubai, IndiGo, SpiceJet, or Air India Express, or a full-service airline like Air India, Emirates, Gulf Air, or Oman Air.
According to Praveen Choudhary, Managing Director of Al Saffron Travel & Tourism LLC, the main factors are increased demand during school holidays and higher fuel charges due to ongoing tensions in the Gulf region.
Routes to the Middle East and North Africa have also seen significant increases. Flights to Egypt have risen from Dh1,980 to Dh2,670, a 35 per cent jump, while fares to Morocco have increased from Dh1,800 to Dh2,715, nearly 50 per cent. “There are many factors in the rising of prices, but most is school holidays and fuel charges due to ongoing situations in the Gulf region,” Choudhary notes.
The true cost of a family holiday
To highlight the difference between expected and actual expenses, Choudhary references the Dubai-to-UK route for a family of four, comparing May and June with the peak summer months of July and August 2026.
Return airfares, previously Dh6,500 to Dh7,000, have increased to Dh8,600 to Dh9,600, a rise of 35 to 45 per cent depending on the carrier.
Seven nights at a four-star hotel, which cost about Dh6,800 during the shoulder season, now cost approximately Dh7,500, an increase of 10 to 11 per cent.
Local transport costs in the UK have also increased by 8 to 12 per cent, depending on availability and mode of travel.
As a result, a family of four budgeting based on May or June prices may find themselves thousands of dirhams short when traveling in July or August.
The value of an agent
With rising prices and hidden costs, travel agents are increasingly acting as financial advisors rather than just booking facilitators. Ipshita notes that professional guidance is especially valuable during peak season, when the gap between advertised and actual holiday costs is greatest.
“This is where working with a travel agent really makes a difference,” she explains. “We don’t just look for the cheapest flight; we look at the overall value of the holiday. Sometimes spending a little more on airfare can save much more through better hotel rates, fewer baggage charges, or smarter routing.” Transparency is essential; agents ensure clients are informed of all additional costs upfront, preventing surprises at visa application centres or hotel check-in.
“A cheap flight doesn’t always mean a cheap holiday,” Ipshita concludes. “The best deal is the one where you’ve budgeted for the entire trip and know exactly what you’re paying for.”
Source: Khaleej Times